09 · Hardware & Infrastructure

Capex

Capital Expenditure

Upfront spending on data centres, chips, and infrastructure. The largest US tech companies have together committed roughly $725 billion for 2026 alone — up from about $410 billion in 2025.

Concrete example

When Amazon or Microsoft guides to $190B+ in yearly capex, the bulk is AI data centres and chips.

Why it matters

A central input to the AI infrastructure thesis — and a number to watch for signs of over- or under-building.

Evidence

Sources for this definition

  1. 1
    Big Tech AI spending plans reach $725 billion

    Tom's Hardware, citing company guidance compiled by the Financial Times · Reporting · checked 2026-07-13